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Our strategy and strategic objectives –
People are the business

Italiana Boninelli, executive vice president - People and organisational development

Italiana Boninelli
Executive vice president –
People and organisational development

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...making people more effective will give them more job satisfaction and make us more productive.

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WE NEED THE RIGHT PEOPLE IN THE RIGHT ROLES DOING THE RIGHT WORK TO DELIVER AGAINST OUR GOALS.

How we are implementing this strategy

We believe that people are central to our success. The shortage of key skills is one of the most significant risks that we face, and one that is shared across the global mining industry.

We aim to create a value proposition that will attract and retain key skills, and which in turn will create a similar and appropriate value proposition for communities and other stakeholder groups.

Our values play a significant role in supporting this component of our strategy. A company-wide values survey was undertaken in 2010 and, as a result of the feedback received, regions have implemented practical initiatives that were identified and sponsored by employees to improve the way in which values are communicated and lived.

This values-based approach has been strengthened further through the development of a code of ethics which expresses the company’s commitment to conducting business in line with the highest ethical standards and in compliance with applicable legal requirements. It sets out the standards of acceptable behaviour expected of all directors, employees, consultants, business partners and company representatives, emphasising performance with integrity. The Audit and Corporate Governance Committee of the board oversees the application of the code.

Strategy in practice: Implementing effective systems

Our strategic direction as defined in our vision, mission, values and five core strategies introduced a new approach to leadership within the group that supports people doing the right work. We reviewed our management framework with a focus on strengthening both people and technical systems so that, in our constantly changing business contexts, we can reflect an aligned and consistent working model. We designed and implemented Project ONE. In essence, Project ONE is aimed at developing and implementing the systems necessary to enable AngloGold Ashanti to maximise efficiencies and productivity, and reduce costs so as to enable us to achieve our stated vision and mission, and to ensure the company’s sustainability in the longer term. The key components of Project ONE are the Business Process Framework (BPF); the System for People (SP); and engagement.

Through Project ONE, we have rebuilt our business processes by putting in place people and technical systems to deliberately change our working environment and increase our focus on engagement.

These systems are integrated approaches to operating which together give effect to all our core strategies, but particularly to give real meaning to the adage: “people are the business”. The SP begins with organisational designs that delineate clear structures, roles and associated accountabilities, and clarify how we connect every part of the business. Technical systems (or the BPF) detail our business processes and how all tasks fit and flow together to explain how people interact with each other within the operating system to get work done. Engagement encourages line ownership and team work, defining the way in which we relate to colleagues and external parties.

Simply put:

  • The SP is about making sure we have the right people in the right role doing the right work.
  • The BPF is about making sure we are doing the right work at the right time in the right way.
  • Engagement ensures that we involve the right people in the right way to deliver the right outcome.

The objectives of the SP are to put in place 1) the right organisational structure with 2) the right people in the right role and 3) effective working relationships. Although still in the process of being implemented, we accelerated our rollout of the SP in 2011, focusing on the following:

  1. Structure: organisational design and work complexity. Again, by way of example, organisational structures have been reviewed in line with the principles of Requisite Organisation and to ensure that accountabilities are assigned at the correct level.
  2. People: role accountabilities and individual capability. By way of example, we have clarified role accountabilities in alignment to levels of work, and have assessed the current potential capability of individuals, striving to match the two in order to achieve the best fit between challenge and capability.
  3. Processes: building the sub-systems that support the SP (for example, in talent and performance management).
SP: A comprehensive and integrated system [graph] Enlarge diagram